In Rhode Island, Mark Cuban has taken a bold stance against Medicare Advantage, claiming it costs taxpayers significantly more than traditional Medicare. Cuban’s remarks come as lawmakers grapple with rising health care costs and the implications for low-income seniors.
The backdrop is unsettling. In 2026, Rhode Island’s Medicare Savings Program (MSP) will have an asset limit of $9,950 for individuals and $14,910 for couples. This limit can disqualify many low-income seniors from receiving crucial aid. The MSP is designed to help older adults and those with disabilities by covering their premiums—saving eligible participants at least $2,400 a year. Yet, as Carol Anne Costa from the Senior Agenda Coalition pointed out, “Rhode Island should not force low-income people on Medicare to spend themselves into poverty to get help paying for health care.”
More than half of Medicare-eligible beneficiaries now choose Medicare Advantage over traditional plans. But the reality is that these plans are becoming increasingly costly. In fact, the Centers for Medicare & Medicaid Services has finalized a rate increase of 2.48 percent for 2027, further straining budgets.
Cuban argues that taxpayers are footing an unnecessary bill—around $800 per American family annually—to support these expensive plans. “Medicare Advantage was meant to cost LESS than [traditional] Medicare,” he stated emphatically. His pharmacy venture, Cost Plus Drugs, exemplifies his approach: marking up prices by no more than 15% while openly sharing manufacturing costs.
This criticism aligns with a growing call for legislative reform. The bipartisan “Break Up Big Medicine Act,” co-sponsored by Senators Josh Hawley and Elizabeth Warren, aims to dismantle large insurance companies that many believe contribute to inflated healthcare expenses.
Seniors deserve affordable, dependable care tailored to their needs—not a system that drives them further into financial hardship. Observers note that several neighboring states have already eliminated similar asset limits in their MSP programs, raising questions about Rhode Island’s approach.
The future remains uncertain as discussions continue among lawmakers and advocates alike. The focus now shifts toward potential reforms that could reshape how Medicare operates and how it serves those who depend on it most.